Canadians' economic outlook dims slightly, still brighter than U.S.
WINNIPEG--Canadian consumers remain more confident than their American counterparts according to the latest results of the Harris/Decima-Investors Group Consumer Confidence Index. In the latest wave of the quarterly survey, Canadian consumer confidence index stood at 83.7, down slightly from 86.2 in February, but still well ahead of the US, where the index stood at 74.3.
Canadians remain more likely to see good times financially for themselves a year from now than bad. In total, 25% believe they will be better off financially a year from now. Conversely, 15% feel they will be worse off a year from now. In February, this split was 31%-13%.
One in four Canadians (24%) sees good times ahead for the economy in the next twelve months. Conversely, 13% see bad times over this same period. These numbers remain virtually unchanged from last wave.
A majority (56%) believe there will be good times financially for the Canadian economy in the next 5 years, while 30% believe there will be unemployment and recession over this period. This split is similar to the 54%-31% recorded last wave.
Half (49%) believe that now is a good time to make a major purchase. Nationally, 33% believe it is a bad time to make such a purchase. In February, this split was 51%-31%.
In terms of how people perceive the last year, 15% indicated they were better off financially compared to a year ago, while 26% feel they are worse off.
According to Senior Vice-President Doug Anderson "The fluctuations in American consumer confidence have been more dramatic than in Canada where confidence has been relatively stable for about two years. That being said the drop in Canadian consumer confidence reverses the trend of the past two quarters".
"The continued strength of Canadian consumer confidence is impressive," said Jack Courtney, Assistant Vice-President of Advanced Financial Planning at Investors Group. "The overall impression of the stability and potential for growth in the Canadian economy helps Canadians feel more comfortable when making their own personal financial planning, saving and investing decisions."
These data were gathered through teleVox, the company's national telephone omnibus survey for two weeks from May 19 to May 30, 2011 for just over 2,000 completes. A sample of the same size has a margin of error of 2.2%, 19 times out of 20.